Real Challenges Mini-Series #3: Insurance Agency Ponders AI Adoption
- Brady Woudstra

- Feb 5
- 2 min read
We're continuing our mini-series on real world cybersecurity and IT challenges. This week, we highlight the risks faced by a progressive insurance agency looking to strategically adopt AI tools.
Adopting AI Without Putting Client Data at Risk

AI is moving fast, and for many organizations, the pressure to “not fall behind” is very real. But speed without guardrails can introduce serious risk, especially when sensitive client data and internal intellectual property are involved.
That’s where an insurance agency we worked with found themselves. They wanted to explore AI tools thoughtfully, but didn’t yet have a framework to do so safely.
The Problem: Knowing the Risks of new AI Tools
The agency wasn’t short on ideas, they were short on clarity.
They were asking the right high-level questions:
Which AI tools are safe to use?
What data is acceptable to upload?
How do we evaluate vendors beyond marketing claims?
But they lacked a repeatable way to:
Vet AI vendors and platforms
Understand how data was stored, used, or deleted
Compare one vendor’s security posture to another
Decide which tools were mature enough for an insurance environment
The concern wasn’t AI itself, it was adopting it without understanding the risk.
The Process: Outcomes over Features
We started with outcomes, not tools.
Together, we discussed:
What the agency hoped to gain from AI
Which teams would use it and how
The types of documents or data that might be involved
The Solution: A Framework for Vetting AI Offerings
From there, we created a standardized vendor questionnaire designed to evaluate AI tools through a cybersecurity and IT lens.
The questionnaire covered areas such as:
Data retention and deletion processes
SOC 2 and compliance alignment
Internal IT and cybersecurity standards
Data isolation and tenant separation
How customer data is used (or not used) to train models
The goal was to facilitate adoption, not slow it down.
Client Response: Clarity
The agency stated they had clarity and confidence.
Having a structured questionnaire meant the agency finally had:
A clear way to ask the right questions
Confidence engaging vendors in meaningful conversations
A process they could reuse, not just for AI, but for any SaaS tool
What had felt overwhelming suddenly became manageable.
Smarter Vetting Leads to Stronger Partnerships
The impact didn’t stop with documentation.
The agency has since:
Used the questionnaire with multiple vendors
Asked Elevate to review responses and provide scored feedback on cybersecurity and IT maturity
Quickly identified vendors that were not ready for sensitive data
Prioritized partners that demonstrated strong security practices
As a result, they were able to move forward with AI exploration while actively reducing risk.
Learn More
If your firm needs help navigating IT risk, cybersecurity planning, or simply wants a trusted advisor to lean on, we’re here to help. Schedule a conversation today.
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